Request from FTX to Remove Turkey from the Case
FTX, which dealt a heavy blow to the crypto industry, brought many companies to bankruptcy. The bankruptcy of the exchange also shook confidence in crypto ownership. Due to the fact that FTX has a leg in Turkey, the bankrupt stock market is followed closely the next day. After the bankruptcy proceedings of the stock market, the use of goods in Turkey was confiscated. There has been a remarkable development regarding the secret FTX Turkey, which is used by many people.
FTX has applied to the US courts to have the units in Turkey removed from the case. The exchange requested that FTX Turkey and SNG Investments be removed from the file. In FTX’s drawings, it was stated that Turkish principles are unlikely to be enforced by the possibilities from the US courts. After FTX’s bankruptcy execution in November 2022, action was taken in Turkey and an investigation was initiated. On November 23, the bad configuration of FTX in Turkey was seized.
The stock market claimed that the bankruptcy filing filed with the Delaware court would not have a legal effect in Turkey. He also stated that they believe that the debtors will not cooperate with the decisions of the Turkish court. Borsa İstanbul argued that the court could not exercise sufficient control over the Turkish unit. The parent company, FTX Trading, looks after 80 percent of FTX Turkey. SNG Investments, on the other hand, was operating as a 100% subsidiary of Alameda Research.
In FTX’s businesses, it can be recorded that the parent company continues to sue under Turkish law. He stated that Turkish creditors have started to file lawsuits in local courts. A hearing on the matter is expected on 8 March.